Canadian exploration and development company Euro Sun Mining said on Monday it has secured an $8.6 million (7.32 million euro) financing mainly for Romanian operations.
Euro Sun closed a non-brokered private placement financing of 6,144,291 common shares at a price of $1.40 per share, it said in a press release.
The company intends to use the funds for the advancement of its wholly-owned Rovina Valley project in west-central Romania and for general working capital purposes.
In August, Euro Sun Mining said it plans to open an office in Romania’s capital Bucharest. The A-class offices located in the downtown area of the city are expected to be completed during the fourth quarter of 2017.
At the beginning of August, ANRM issued an official notice to Euro Sun Mining, announcing that the ratification process of the mining license for the company’s core-project in Rovina Valley was initiated.
In May 2015, Euro Sun received a mining licence from the ANRM for the Rovina Valley project, which needs to be ratified by the ministries of environment, economy, justice and finance, and then published in the government gazette.
The Rovina Valley project spreads on an area of 27.68 sq km approximately 300 km northwest of Bucharest. It hosts the second largest gold deposit in Europe, with measured and indicated mineral resources of 10.84 million ounces of gold equivalent, according to the company’s own data.
Euro Sun said it plans to use the highest environmental standards and without the use of cyanide to extract copper and gold from Rovina Valley and pointed out that the project will provide stable, high-paying employment and substantial economic benefits to the Romanian state.
Last October, the Toronto-listed mining company obtained a prospecting permit from ANRM for the Stanija area, located around 3 km east of Rovina Valley.
Formerly known as Carpathian Gold, Euro Sun changed its brand identity in September 2016.